Currently here, there have been no major terror attacks - though the IDF has foiled several attempts. On the Lebanese border, shrapnel from Hezbollah anti-aircraft fire has sent people into bomb shelters (report) - the Lebanese claim that the Israeli Air Force is flying over their territory.

We've been hearing a fair amount about shuffling Arafat's shuffling Jibril Rajoub and Tewfiq Tirawi in and out of the PA; and also about the course of Operation Determined Path - but in both cases it's difficult to know where things are going. On the radio yesterday there was an interview with MK Natan Sharansky, who was very enthusiastic about the prospects for promoting Palestinian democracy via a group of businessmen headed by Omar Karsou. Prof. Guy Bechor thinks that that's impossible: Arafat's reforms consist of installing people based not on their capability but on their loyalty only.